Vietnam says it will not host 2019 Asian Games

China's Yang Jiapeng (left) jumps to block Malaysia's Muhd Futra Abd Ghani during their men's sepak takraw match at the Asian Games in Guangzhou, China, on November 16, 2010.

Carlos Barria: Reuters

Vietnam says it has decided against hosting the 2019 Asian Games due to financial reasons and is exploring procedures to withdraw from staging the region's largest sporting event.

The nation will "quickly work the Olympic Committee of Asia (OCA) for measures to pull out from the hosting of ASIAD 18 in Hanoi", a statement posted on the government's website said, after Prime Minister Nguyen Tan Dung convened a meeting to examine the issue.

A lack of experience in hosting large sporting events and difficulties in the country's socio-economic situation were cited as reasons.

"Vietnam will apply for the hosting of ASIAD at an appropriate time," the statement said.

In November 2012, Vietnam's capital Hanoi won the right to host the 2019 Asian Games, beating Indonesia's second city Surabaya after Dubai in the United Arab Emirates pulled out just before the vote.

The victory sparked celebrations among Vietnamese officials, who said the decision would unlock millions of dollars in infrastructure investment.

But with the nation's economy in crisis, a decaying sports infrastructure and an uninspiring athletics record, public sentiment hasn't swung behind the official campaign.

Officials said hosting the 18th Asian Games could cost around $150 million and would require the construction of new sporting stadiums and an athletes' village.

But experts have said the real cost of the games, which were scheduled to run for 16 days, could have been far higher.

Vietnam's Olympic Committee initially proposed a budget of around $300 million which the government slashed due to the country's dire economic situation.

It has been hit by falling growth as the effects of corruption and inefficiencies in the state-run sector ripple out into the wider economy.

A lingering banking crisis also threatens some of the country's key financial institutions.

In recent weeks, state-run newspapers and popular blogs have run stories and comment pieces urging the government to withdraw from the Games and spend the money on other priorities.

This year's Asian Games will be held in the South Korean city of Incheon from September 19 to October 4.